Investors Commend Conoil, Approve N2.15 Billion Dividend

Shareholders of frontline oil products marketer, Conoil Plc, have commended the management and Board of the company for the impressive performance it recorded in the last financial year.

At the company's 47th annual general meeting held at the weekend in Uyo, Akwa Ibom State, the shareholders applauded the Board and management for their prudent and efficient execution of projects and plans, strong commitment to the culture of financial discipline, while also ensuring maximum value for shareholders.

The Company in a Press Statement, expressed its gratitude to all those who made it possible to achieve the excellent results; including shareholders for their confidence, customers for their unalloyed patronage, and staff for their dedication and hard work.
It assured its stakeholders of bigger and better business prepositions with an eye on the future to continue to deliver excellent results.

The company's overall strategy will continue to positively impact its current size, and our investments in the required areas will continue to ensure effective and efficient delivery of our avowed goals", the Statement revealed.

Ambassador Olufemi Timothy, President, Renaissance Shareholders' Association, remarked that shareholders were elated that despite the downturn in the economy; with the attendant sharp increase in operating costs, Conoil still recorded impressive growth in all key areas.

Conoil's performance for the year ended 31 December, 2016 was very encouraging. Against the backdrop of a volatile and tough operating environment, the company still recorded strong margins which in turn impacted shareholders positively," Timothy added.

Chief Timothy Adesiyan, President Nigerian Shareholders' Solidarity Association in his reaction, remarked that "the management and Board of the company have not only performed excellently well but have also fulfilled their promise of maintaining consistent returns to shareholders".

"Given the tough operating environment in 2016 characterized by tight liquidity, rising cost of funds and the inability of petroleum marketing companies to import fuel in the face of little or no supply from the domestic refineries, Conoil still braved the odds, recorded profits and is able to pay dividend to its shareholders," said Adesiyan.

In his own comment, Bishop Goodluck Akpore, Chairman, Onitsha Zone Shareholders' Association, praised the resilience of Conoil in the face of a tough operating environment. According to him, "Conoil has continually set standards in fuel retailing with world-class facilities and groundbreaking marketing initiatives that endear it to customers and place it far ahead of competition. I am therefore delighted that this has translated to good dividends to shareholders at a time like this".

The nation's foremost indigenous petroleum marketer declared a profit before tax of N4.28 billion from N3.4 billion in 2015, an increase of 24 per cent.

The result also shows growth across all key financial indices. Its profit after tax increased from N2.30 billion in 2015 to N2.84 billion, representing a 23 per cent rise. Its revenue increased from N82.9 billion to N85.02 billion.

The company's earnings per share increased sharply by 23 per cent from 333 kobo in 2015 to 409 kobo in 2016.

Accordingly, the shareholders of the major oil marketer, in line with its history of progressive dividend policy, ratified a total dividend payout of N2.15 billion.

In the opinion of capital market operators, this performance has further raised the bar of the strategic positioning of Conoil as truly the nation's marketer of choice.